In a nutshell: SK Hynix could be expanding its US manufacturing plans beyond chip packaging. Reports say the company is in talks with Intel about producing memory chips on American soil for the first time, potentially using part of Chipzilla's long-delayed Ohio site.
According to Reuters, which cites three people familiar with the discussions, one option would see SK Hynix lease space at Intel's planned facility.
Another involves forming a joint venture with Intel and major cloud companies looking to secure memory supplies as AI demand continues to disrupt the market.
However, SK Hynix has just pushed back on some of the reporting, stressing that nothing has been finalized. The company said it was reviewing ways to strengthen its memory business, including additional production sites, but had made no decisions.
A spokesperson separately said that several countries and locations were under consideration, without confirming Intel as a potential partner.
There's also no confirmation of which memory chips would be manufactured under any agreement. Intel declined to comment on what it described as speculation, while saying it was continuing to invest in preparing the Ohio site.
SK Hynix already has a US project underway. In 2024, the company confirmed plans for an advanced HBM packaging facility in West Lafayette, Indiana. It broke ground last month, with investment now exceeding $4 billion and mass production scheduled for the second half of 2029, according to the manufacturer's latest announcement.
The difference is that Indiana will package and test chips using wafers manufactured in South Korea. An Ohio agreement could bring wafer fabrication itself to the US.
Intel would likely welcome a partner for its Ohio investment. The project has suffered repeated delays: the schedule announced last year put completion of the first fab in 2030, with operations beginning in 2030 or 2031. The second was scheduled for completion in 2031 and production in 2032.
A deal would also fit Trump's push to bring more chip manufacturing to the US. The president has threatened substantial tariffs on chipmakers that do not expand American production. In June, he also claimed Apple would work with Intel to design and build chips domestically.
One issue could be that advanced memory production overseas may face opposition from Seoul over sensitive technology. South Korea's trade ministry said an investment involving designated national core technology would require review under its industrial technology protection law.
